Nigeria accounts for nearly half of all total weekly P2P volumes in Sub-Saharan Africa, a new report by Arcane Research has revealed.
While P2P bitcoin volumes across have doubled in the last one year, a huge proportion of this volume is driven by Nigeria.
Here are more stats from the report:
- Paxful is the most dominant P2P platform in Africa
- Over 45% of all Paxful users are in Africa
- 48% of the total bitcoin purchases on Paxful is via gift card trading
- Remittances are a common use case for value transfer in Africa
- Paxful accounts for 70% of the total P2P documented volume in Nigeria
- Bitcoin awareness reached all-time highs in 2020, according to Google Trends data
- Kenya, Ghana, and South Africa accounted for significant P2P increases in 2020
- Ghana’s P2P volumes have seen rapid increase in recent months
- LocalBitcoins accounts for 78% of P2P bitcoin volumes in South Africa
- Paxful dominates in P2P bitcoin volumes Kenya at 63%
- Paxful dominates P2P bitcoin volumes in Ghana at 96%
- North African P2P volumes are the lowest globally at just 15%
- The report predicts larger adoption in more unstable economies like Egypt
The report highlights two reasons why P2P is popular in emerging markets of Africa:
- Centralized exchanges offered limited access to these markets – Easy KYC-approvals and access to crypto for fiat at negligible feel levels is lacking
- P2P platforms are more flexible – They do not require bank transfers and offer a variety of common payment methods, in addition to weaker KYC requirements
The report shows that emerging and developing nations of Africa are among the most vibrant in P2P crypto transactions globally.
While the report only highlights documented volumes and activities of Paxful and LocalBitcoins, it admits that the market, especially in developing nations, is still undocumented and remains much larger considering local P2P players.
Check out the full report here: http://bit.ly/CryptoP2P-Report